1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
ANEK [815]
3 years ago
8

Hodgkiss Mfg., Inc., is currently operating at only 92 percent of fixed asset capacity. Current sales are $780,000. Fixed assets

are $470,000 and sales are projected to grow to $880,000. How much in new fixed assets are required to support this growth in sales? Assume the company wants to operate at full capacity. (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Business
1 answer:
EleoNora [17]3 years ago
4 0

Answer:

$17,835.90

Explanation:

Currently Hodgkiss is operating at 92% of its fixed asset capacity, so they have an spare 8% to grow without adding any more fixed assets: ($780,000 / 92) x 100 = $847,826.09.

So they need to add fix assets in to increase its production by $32,173.91 (= $880,000 - $847,826.09).

Every dollar spent in fixed assets generates at full capacity $1.8039 in production output (= $847,826 / $470,000).

If they want to increase production by $32,174, they will need to spend $17,835.90 in fixed assets.

You might be interested in
If the firm’s beta is 1.6, the risk-free rate is 9%, and the average return on the market is 13%, what will be the firm’s cost o
Luden [163]

Answer:

CAPM= RF+B(RM-RF)

= 9+1.6(13-9)

=15.4%

13=RS+1.6*(4)

13=RS+6.4

RS=13-6.4

RS=6.6%

Explanation:

3 0
3 years ago
Suppose the owners of Lopes and HomeMax meet for a friendly game of golf one afternoon and happen to discuss a strategy to optim
Amiraneli [1.4K]

Answer:

c. $2.0 million for Lopes and by $2.5 million for HomeMax.

Explanation:

For the problem above, the two organizations agreed to work on a particular project because they believed that they will benefit from the outcome of the project. Based on the available information provided in the question, the profit that Lopes will make yearly will increase by $2.0 million while that of HomeMax will increase by $2.5 million.

3 0
3 years ago
As Lily files her taxes, she learns that her federal total tax due ends up being $206. According to her Federal income tax withh
adoni [48]

The tax refund that Lily can expect to get back from the tax authorities will be $15.80.

<h3>What is a tax?</h3>

A tax simply means the compulsory levy that's paid by the people and companies to the government.

In this case, the tax refund that Lily can expect back will be:

= 7.65% × $206

= $15.80

In conclusion, the correct option is $15.80.

Learn more about tax on:

brainly.com/question/25783927

8 0
2 years ago
Stock in dragula industries has a beta of 1.1. the market risk premium is 7 percent, and t-bills are currently yielding 4.5 perc
antiseptic1488 [7]
Idk i just need points Lol.
8 0
3 years ago
Describe your personal definition of leadership.
Inessa [10]
Leadership is showing the way to people and making people better.
5 0
2 years ago
Other questions:
  • Melinda kept a record of her spending for the week. She spent $25 to put gas in the car, bought a new shirt for a total of $22.3
    9·1 answer
  • Six years ago, Archie lost his job as a highly skilled craftsman at a metal working shop. Before accepting a job as a maintenanc
    7·1 answer
  • True or False: When fish are caught under common property rights, the market price of fish can send misleading information to de
    14·1 answer
  • When an offeree changes the terms of an offer, it is called a counteroffer. What happens
    8·1 answer
  • A lawnmower manufacturer estimates that the probability of a fatal accident caused by the design of its product is 1/10,000 and
    6·1 answer
  • Links Golf Course is planning for the coming golfing season. Investors would like to earn a​ 10% return on the​ company's $60,00
    15·1 answer
  • The​ Ritz-Carlton has carefully created a strong and distinctive differentiation​ strategy, which is supported by everything the
    5·1 answer
  • What is the principal difference between less developed and more developed countries with regard to the percentages of primary,
    11·1 answer
  • Rita is a successful entrepreneur who owns a small coffee shop and serves her customers regular homemade coffee. She recently ex
    7·1 answer
  • The American textile industry has moved much of its operations offshore in the pursuit of lower labor costs. Textile imports hav
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!